The U.S. is renewing pressure on the World Bank to lift its longstanding ban on financing nuclear power projects, aiming to bolster Western competitiveness against China and Russia in global atomic energy development. French Hill, chair of the House Financial Services Committee, confirmed that the new U.S. administration supports the shift just months before a critical decision on the issue.
Hill emphasized that World Bank President Ajay Banga has U.S. backing to end the prohibition as the institution reevaluates its energy policies. The World Bank, which last financed nuclear power in the 1950s, is now considering reintegration, particularly with advancements in small modular reactors that could reduce costs. Banga recently reiterated his openness to nuclear energy in an address to the European Commission, despite opposition from Germany and several smaller European nations.
Washington’s push to change World Bank policy reflects growing concern over Beijing and Moscow’s dominance in financing and constructing nuclear plants across Africa and Asia. Hill noted that many governments are eager to expand nuclear power but struggle to secure support from Western nations.
The World Bank is finalizing a new energy strategy that includes evaluating nuclear power alongside renewables and natural gas. A senior official stated that the bank is assessing how nuclear projects could be made affordable for emerging markets, with conclusions expected in the coming months.
The push for nuclear financing comes amid a broader review of U.S. engagement with international financial institutions. The Trump administration’s Project 2025 manifesto has been critical of multilateral organizations, though Trump previously established the Development Finance Corporation to promote U.S. strategic interests. Hill introduced a bill last month urging the U.S. to lobby for the World Bank’s nuclear policy change, signaling the issue as a top priority.
Todd Moss, director of the Energy for Growth Hub, highlighted that the U.S. wants to ensure American nuclear firms are not hindered by outdated policies at major financial institutions. The World Bank’s International Finance Corporation (IFC) also excludes nuclear projects, a stance mirrored by other development lenders, while China’s state banks have significantly outpaced the World Bank in energy project financing.
Currently, most of the world’s 60 new nuclear reactors under construction are in China and Asia. Russia’s Rosatom has signed nuclear agreements with countries like Vietnam, Egypt, and Turkey. While some U.S. firms, such as Westinghouse, have secured international nuclear contracts, official U.S. project financing remains limited.
Support for nuclear power has been growing in Washington. In 2023, then-President Joe Biden signed legislation to accelerate nuclear permitting and conversion of retiring coal plants to nuclear sites. The 2025 bill introduced by Hill and Democrat Ritchie Torres seeks to establish a trust fund for nuclear projects through the World Bank and other global financial institutions. Hill advocates for Western democracies to provide competitive financing and supply American components for nuclear projects, leveraging U.S. institutions such as the Export-Import Bank.
